Oil Analysis for Today, Wednesday, August 26, 2026

Oil prices are retreating for the third consecutive session; Brent crude has dropped toward the $86.50-per-barrel mark, while West Texas Intermediate (WTI) is trading in the $80.30–$80.80 range.

These declines stem from easing concerns regarding immediate supply disruptions—following reports of talks to establish a maritime corridor in the Strait of Hormuz—and the market's digestion of the latest US sanctions package, which proved less severe than anticipated.

Technical Support and Resistance Levels

Brent Crude:

Key Support: $85.00 – $85.50 (a critical test zone; a break below opens the way to $83.20).

First Resistance: $88.30 (reclaiming this level restores positive momentum).

Key Resistance: $91.00 – $92.50.

West Texas Intermediate (WTI):

Key Support: $79.50 – $80.00 (an important psychological and technical level).

First Resistance: $82.50.

Key Resistance: $85.50.

Technical Indicators and Drivers

-Relative Strength Index (RSI): Trending towards the 44.0 level (a neutral zone with a slight bearish bias), indicating that buyers are losing short-term momentum.

-Moving Averages: The price breaking below the 20-day moving average reinforces the current bearish correction; however, the medium-term trend remains supported as long as Brent crude stays above the $83.00 level.

Intraday Trading Scenarios

-Bearish Scenario (Correction/Continuation): A break and stabilization below the $85.00 support level for Brent crude could drive prices to decline further towards $83.20.

-Bullish Scenario (Rebound): If the price successfully holds above the $85.50–$86.00 range and rebounds to break the resistance at $88.30, oil would once again target the $90.00–$92.50 zone.